Just an update about the situation. Even though I was reluctant, I decided to call Apple on Wednesday. The lady I spoke with was surprisingly understanding and suggested that I got a replacement at once. Not a refurbished one, but a completely new one. To my surprise, I got it today already. Even with the original printing on the back! Now that is good service, not to mention extremely fast!
The new one is OK, no more color issues and "burn-in/ghosting". Just a very slight light bleed in one of the corners, but so minor it's not even an issue. I'm now a happy iPad owner again